Skip to main content

tv   The Willis Report  FOX Business  October 18, 2012 6:00pm-7:00pm EDT

6:00 pm
who is telling the truth on jobs? jobless claims higher after a low last week. with more on this, john taylor from stanford university and adviser to the presidential campaign. welcome to the show, great to have you here. the numbers were curious last week. weekly claims plunged to four and a half year low, people asking serious questions, but now they are back up. that's what telling you? >> well, that's telling me things are going sideways, really. the number last week was clearly because of the state not reporting back in, and so we request see it's back up to where it was before, and what i rate it as a stagnant labor market, economy's not growing rapidly, and so there's ups and downs in the claims numbers unfortunately. gerri: claims rise 46,000 to
6:01 pm
388,000, and, yet, the president, of course, using the numbers and the monthly jobs numbers to say, hey, the economy's recovering. i want you to hear what the president said about the numbers and his evaluation of the economy. >> today, i believe that as a nation we are moving forward again. [cheers and applause] we're moving forward. now, after losing about 800,000 jobs a month when i took office, our businesses have now added 5.2 million new jobs over the past two and a half years. [cheers and applause] gerri: but, john, are we moving forward if gdp is 1.3% and unemployment at 7.8%? >> we're not moving forward in any significant way. one thing that the president fails to mention is during that period of time, you had 10 million new workers coming into the work force, and so
6:02 pm
unfortunately, the fraction of the work force that's employed, working age population, it's gone down, and since the recovery began, and so unfortunately, people try to talk the economy, make it look better than it is, but it's not doing well, and growth numbers mentioned, 1.3% suggests that, and so i think we need a change in policy to make the economy grow more rapidly like it has in past recoveries. gerri: and obviously, you're working for romney, support romney and his tax plan. here's the problem, though. i hear him talk in the debates about the tax plan, and every time he talks about how much in deductions he'll allow or the specifics of the plan, it changes. why is that? >> well, i think he's been quite consistent laying out a framework which is to reduce the tax rates, the marginal tax rates we sometime call them, but at the same time, expand the base. that proposal has been made in the past.
6:03 pm
president rage p made that proposal in 1986. in the 1960s, kennedy made that proposal. once the proposal's out there, people get together and negotiate exactly where you expand the base. it's worked before. i think it works again. that's what he's trying to do. i think it's much specificity as you'd like at this point in time. gerri: so if he were to be elected, do you expect he'll get together with the top leaders in congress, have a conversation about what the ceiling on dividends might be or what the ceiling on deductions, that is, might be, and what the specifics are when it comes to his tax policy. will we have to wait and see ultimately? >> well, remember, you have history to guide you here. 1986, president reagan and back in the election before that, 1984, laid out a general plan framework and got together with republicans and democrats. actually, a lot of the leadership came from the democrats at that point along with the president, and same thing happened in 1960s so that's how it works. that's how to get things done,
6:04 pm
and i think the point here is you sit down in a bipartisan way, know it has to be done, laid out how it works, he'll have the mandate of the election, and i think that really is the best way to make process. it's an important issue. gerri: a long way to go for sure, and if he's to operate 234 -hat fashion, it's different than the past four years. >> absolutely. gerri: ann romney said today that if mitt romney does not win the election, he's not going to try again. are you surprisedded by that? >> i didn't see that. i didn't hear what he said. i know he's planning on winning this election as his supporters are as well. it would make a big improvement in the economy. gerri: now, your name is floated as somebody who might run the federal reserve under romney, might run the council of economic advisers. what can we expect of you in the future if mitt romney wins?
6:05 pm
>> well, of course, comments like that are speculation. i enjoy participating in the public policy discussions as i'm doing now. i think the economy's not on the right track. i really want to make sure we get back to better policy like we had in the 80s and 1990s. that's the main concern at this point. we have a great opportunity to improve the economy. we can work on that in the inside and outside. the key here is to get the economy moving again. gerri: long way to go, really, before that happens. in an earnest way, thank you, john, thank you for coming on. >> thank you gerri: always terrific having you on the show. >> thank you. gerri: thank you. the latest developments in the story yesterday. the bangladesh man arrested for trying to bomb the new york reserve may is been targeting president obama and the new york stock exchange. he allegedly bought and tried to detonate what he thought was a thousand pound bomb parked next
6:06 pm
to the federal reserve yesterday. undercover fbi agent posed as an al-qaeda contact. he arrived in the country in january op a student visa now held without bail. a lot more still to come in the hour like a shocking new report on the state of the welfare nation. find out how much the government is spending, and will president obama send us off the fiscal cliff? reports he's planning to view tea any efforts that try to stop the fall. details, next. ♪ i'm a conservative investor.
6:07 pm
i invest in what i know. i turned 65 last week. i'm getting married. planning a life. there are risks, sure. but, there's no reward without it. i want to be prepared for the long haul. i see a world bursting with opportunities. india, china, brazil, ishares, small-caps, large-caps, ishares. industrials. low cost. every dollar counts. ishares. income. dividends. bonds. i like bonds. ishares. commodities. diversification. choices. my own ideas. ishares. i want to use the same stuff the big guys use.
6:08 pm
ishare 8 out of 10 large, professional investors choose isharesor their etfs. introducing the ishares core, etfs for the heart of your pofolio. tax efficient and low cost building blocks to help you keep more of what you earn. tax call your advisor.cost builvisit ishares.com. ishares. ishares. yeah, ishares. call 1-800-ishares for a prospectus which includes investment objectives, risks, charges and expense read and consider it carefully before investing. wooohooo....hahaahahaha!
6:09 pm
oh..here you go. wooohooo....hahaahahaha! i'm gonna stand up to her! no you're not. i know. you know ronny folks who save hundreds of dollars switching to gco sure are happy. how happy are they jimmy? happier than a witch in a broom factory. get happy. get geico. fifteen minutes could save y fifteen percent or more. gerri: if president obama threatening to throw everybody over the fiscal cliff. that's right. the white house made it clear president obama will veto to block the fiscal cliff unless
6:10 pm
the g.o.p. gives in to raise his demand to tax the rich. what do you think of this? it's nonsense to me. why would you drive us over the cliff? why not sit down and have a conversation? find a place in the middle to go. >> campaign politics. i mean, we're less than three weeks away from a presidential election. i think the president wants to do everything he can to emphasize he's for the small guy, that he's not going to be in favor of the give-aways to the rich as he characterizes them, and so he wants to maximize whatever political benefit he can get over the next three weeks, and that's what he's trying to do. gerri: i want you to hear what the president had to say on this topic. listen to this. >> the reason is we can't afford it. it costs us a trillion dollars, and at a time when everybody says we have to drive down the deficit, if you give me a tax break or mr. romney a tax break or warren buffet is tax rate costing us a trillion dollars, well, that comes out of a
6:11 pm
student who's trying to go to school and now has to pay high r rates for student loans. gerri: have a conversation. john boehner, speaker of the house, and the president have not spoken in four months. is obama leading the nation or just campaigning? >> just campaigning. that's complete and utter nonsense that argument. this is a president who twice argued that raising taxes in a down turn would hurt the economy and would kill jobs. he's now running, proposing to do what he said would be bad for the economy in a time we grow at 1.3%. it makes no sense whatsoever on the economics of it. he thinks it makes sense on the politics of it, but i don't know that that's nosily true. people are getting sick of the class warfare arguments. they don't seem to be working for the president judging by the latest polls. gerri: be clear about what the cliff costs regular americans. estimates are that the average annual household tax bill goes
6:12 pm
up by $3500, and it's not just that, but it's also higher taxes on investments, long term capital gains, dividends, interest incomes. i mean, where's the incentive to do anything if taxes go up so high so quickly? >> yeah, there really isn't anything, and people don't know what's likely to come, and when the president assures them, as he has in the past, that he'll take care of it after the election, they'll fix the cliff. it's still means that taxes go up. you talk to people, and i rode on a southwest airlines flight the other day back from the debate next to a guy running a medical disposal company, 30 employees, you know, files -- one of the so-called rich, but he's not rich. he takes that money and sends it back into his company, trying to grow a small business. he said i can't make it work if he's going to raise taxes. i just can't make it work. it will mean i have to lay people off so that, i think, is the reality of it. president obama, at times in the
6:13 pm
past, seems to recognize that's reality of it, but now that we're in campaign mode, less than three weeks from the election, he doesn't want to acknowledge that. gerri: talk about campaign mode, the president will be on john stewart tonight talking about how the party needs to take some seats back from the g.o.p.. no big surprise there. how successful could they be? >> well, it depends. i mean, if he's talking about the house of representatives, i think that looks almost impossible for democrats to take that back. i mean, it's -- it was the case awhile ago that people were optimistic, republicans on the mistake about the prospects of taking back the senate. that's dicier. what seems to be the likely outcome is have a split congress, have, you know, one or the other of the presidential candidates in the race unless what we're seeing in the polling over the past week to temperature days for mitt romney actually turns into something of a wave, in which case, you know, proverbially, all bets are off. gerri: that's going to be
6:14 pm
interesting. we have a third debate on monday, supposed to be on foreign policy. are they going to talk about anything other than libya, and can it get anymore contentious than the last one? >> it can get more contentious, and i think -- gerri: my gosh. >> romney comes into the debate prepared to talk on libya. he dropped it from the speech, stumbled in the last debate, but there's a case to make, and his campaign understands there's a case to make, and after the last debate up at hofstra, i went after the debate, after governor romney flubbed the answer with assistance -- gerri: from the moderator, thank you very much. >> really confused the issue, led to the bad exchange there for governor romney, but i went to ed gillispe asking if they would press the issue because the last time he was questioned was on the press conference, and the romney campaign backed off
6:15 pm
for three weeks, i said to ed, are you going to continue to press the issue? people want answers. he said, absolutely, the governor knows the issue well, tells us how president obama's. leading the country. we're going to press it. gerri: thank you for coming on. >> any time. gerri: we'll follow you on twitter monday. >> great. gerri: have a great evening, thank you. turning to housing now. if you want to jump in the housing market, the following areas may be ones to avoid unless you just won the lottery. in tonight's top five, most expensive zip codes. 94010, the price is more than $4 million, and there's 124 hourses on the market like this one for $38.5 million. you can get something cool neighbors including patty hearse and alish sha silverstone. number twown, 11962, that's in
6:16 pm
new york, out on long island, not far from here. there's 84 homes for sale. this sets you back $65 million, but you live near gold mapp sachs ceo if you want that, and comedian jimmy fallon. number three, 904 #27 in california. the 41 # homes on the market average to $5 million a piece, but this one? $21 million. shirley temple black called the neighborhood home. 07620, alpine new jersey, homes more than $5.5 million, this one costs $56 million. a favorite to sports stars like britney speers and stevie wonder. the number one expensive zip code is 10065, new york, new york. the price near $7 million, it
6:17 pm
takes a year and a half to sell your home like this $38.5 condo just blocks from the mayor's mangs, mayor bloomberg. noted residents are samuel l. jackson. the most famous zip code, 90210, is number 12. coming up, $10,000 to go to college? one state's plan to drive down college costs. talk about welfare nation, next, new numbers showing the shocking amount our government spent on entitlement programs. i'm not talking about social security or medicare. the details are coming up after the break. ♪
6:18 pm
those little things still get you. for you, life's about her. but your erectile dysfunction - that could ba question of blood flow. cialis tadalafil for ily use helps you be ready anytime the moment's ght. you can be more confident in your ability to be ready. and the same cialis is the only daily ed tablet approved to treat ed and symptoms ofph, like needing to go frequentlyr urgently. tell your doctor about all your medical conditns and medications, and ask if your heart is healthy enough for sexual activity. do not take cialis if you take nitrates for chest pain, as this may cause annsafe drop in blood pressure. do notrink alcohol in excess with cialis. side effects may includehea, delayed ckache or muscle ache. to avoid long-term injury, seek immediate medical help for an erection lasting more than fourours. if you have y sudden decrease or loss in hearing or vision,
6:19 pm
or if you have any allergic reactions such as rash, hives, swelling of the lips, tongue or throat, or difficulty breathing or swallowing, stop taking cialis and get medical help right away. ask your doctor about cialis for daily use [ male announcer ] how do you make 70,000 trades a second... ♪ reach one customer at a time? ♪ or help doctors turn billions of bytes of shared information... ♪ into a fifth anniversary of remission? ♪ whatever your business challenge, dell has the technology and services to help you solve it. gerri: government spending on well fair topping $1 trillion, more than social security and medicare. i'll break that down 23460 secs.
6:20 pm
6:21 pm
gerri: we talk about entitlement programs on the show, and the ease escalating costs of the programs under president obama, but a new report from the congressional research service shows just how out of control this spending is. federal spending on antipoverty programs increaseed 33% since 2008. it was less than $800 billion, but now it's over a trillion dollars. look at that. that's a very short period of time. now, 1.03 trillion in antipoverty programs breaks down to the rest of the budget like this. we spend $825 billion on social security, $480 billion on medicare, and $540 on notary public-war -- non-war defense. authors of the report says the increase came from obama's stimulus program.
6:22 pm
by the way, crs is nonpartisan. in fact, the study takes out social security, medicare, and veterans' programs. tracking the spending is no easy thing because there's no fewer than 83 welfare programs. take a look at these. many of them overlapping. it's hard to find a government department that doesn't run an antipoverty program. to be sure, a weak economy translated into americans looking for assistance, and we reported this week how the numbers of americans on food stamps, for example, just hit a new high. there's more behind the increased spending than just the economy. more than ever, the government is advertising these programs. in fact, our government has an official partnership with a mexican government to expand food stamp enrollment among foreign nationals. all this welfare spending adds ub to $20610 for every man, woman, and child in the country. for a family of four, that's more than dlg --
6:23 pm
$82,000. the poverty line is just $18500. with this spending, poverty should be wiped out, but it's growing. one in seven americans live in poverty. we told you about that before, the most in two decades. all the while, spending is soaring. here's welfare spending in the last four decades. look at this. goes nowhere but up. how do we spend so much money and see so little progress? rather than pushing the line higher and higher expanding the welfare state, stop the taxes and bloated regulations holding back job creation. people need work, not handouts. the point is not that people shouldn't get help when they need it. we want that. shouldn't more of the government's resources be focused on getting the economy going again so that more americans can be self-reliant. that's what i think. we want to know what you think. drop me an e male at -- e-mail at gerri@foxbusiness.com.
6:24 pm
>> would you change your mind if education just cost you $10 # ,000? fine out why some schools offer a cheaper way to get the degree, next. and google jumped the gun too early. shocking investors and crushed the stock. we dive into the internet giant's big mistake. also, they were hit hard by the recession, but many organizations are stepping in to help our returning heros find work. our panel of vets weigh in later. we're on the case next on "the willis report." amecans are always ready to work hard for a bter future. since ameriprise financial was founded back in 1894, they've been commied to putting clients first. helping generations through tough times. good times. never taking a bailout. there when you need them. helping millions of americans over the centuries. the strength of a global financial leader. the heart of a one-to-one relationship. together for your future.
6:25 pm
6:26 pm
6:27 pm
>> as a 20-year-old college students, all i hear is when i graduate, i have little chance to get employment. what can you say to reassure me, but more importantly, my parents, i can sufficiently support myself after i graduate? gerri: that's the question on everybody's mind lately as
6:28 pm
garage watts face debt and crushing economy. new information suggests it's getting worse. chairman the texas hiring board. fred, thank you for joining us today. this is a critical issue for so many americans. i just want to underscore how big the issue is. look at this. look at this snapshot of a 20 # 11 college grad, graduate with $26,600. 54% of them are unemployed or under employeded. look how fast tuition prices go up. january 2012, up 5.6%, well ahead of general inflation closer to 3%. what do you think of this and what do we need to be doing? >> well, gerri, thank you for the question. in texas, we're focused on three strategies. while the one thing, in fact, the only thing, perhaps that governor perry here in texas and the obama administration might
6:29 pm
agree on is the need to increase greatly the number of young adults holding post secondary credentials for the work force. the difference is in how we're pursuing that. in texas, we're aligning our post secondary degrees and certificates with real, regional, statewide, and national economic needs, and we're not just talking about bachelor's degrres, associate's degrees, technical certificates from the technical colleges are equally important to the work force. gerri: all right -- secondly -- gerri: go ahead. >> clear pathways so the degree leads to meaningful employment, and third, bending the cost down to make it affordable. gerri: there's no lid on college costs. you in texas might be doing something about it, but in the rest of the country, tuition on fire. parents can't keep up. you have a proposal down there
6:30 pm
to make an affordable degree, some $10,000 as i understand it. can you get a quality education for $10,000? >> you can, gerri, and here's why. in january of 20 # 11 in the last legislative session, the governor issued a challenge to create a $10,000 degree. as you imagine, he was met with a great deal of skepticism by administrators and legislatures, but the institutions working in tandem have innovated, it's about thinking outside the box, getting away from the traditional approach from a four year degree, and instead through collaboration and innovation create a pathway that's forel. gerri: is there too much federal aid? i said there was no ceiling on tuition; right? is part of the problem the fact
6:31 pm
that whatever federal aid that you want to apply for, you can pretty much get unless you're a horrible credit. >> well, there is an argument that both federal aid and also the perception that quality is equated to price have driven tuition costs up, but like a lot of industries, health care, others, there's a lot of waste in higher education. gerri: yeah. >> i'm convinced that it's not about quality or price. we can provide both by focusing on strategies which will help drive waste out of getting a degree. the time of the degree, credits earned to get a degree in the bachelor's and associate's, things can be made more efficient. gerri: you look at this, not just texas schools, but on the east coast, the schools have sushi in the lunch room, olympic sized swimming pools, not for the swim teams, but for
6:32 pm
everybody. they've invested so much. it's a war out there between the schools to get kids in the front door and willing to spend absolutely anything they can to get it. does that have to stop? >> well, you may have to blame baby boomer parents for creating that expectation, but in texas, 60% of our students that are entering college, post secondary education or coming from poor families, and texas has got to -- we need to grow at a rate with post secondary credentialed adults by 2030, if not sooner. gerri: right. >> we need affordable pathways, it's not a one-size fitting all degree, but it is a quality degree for people not looking for the climbing walls, sushi. gerri: not the pools and the sushi. all right, fred, thanks for
6:33 pm
coming on tonight. interesting conversation. >> you're welcome. gerri: hope to talk to you again soon. >> thank you, gerri. >> what do you think? should you be able to get a quality college degree for $10,000? log on, vote on the right hand side of the screen, and i'll share results at the end of the show. 19 days until the presidential election, and one of obamacare's most controversial parts could already have started kicking in affects millions of potential voters, but the next guest says a major coverup is in the works to prevent cuts to seniors to be delayed until after they cast ballots. for more, republican congressman from oak. let's unpack it step by step if we could. essentially, you and issa are saying that the administration, hhs in particular, is trying to buy this election by hiding the effects of obamacare.
6:34 pm
how are they doing that? it's strong words. >> it is. it's hard to explain it other than this. obamacare has a piece in it changing medicare advantage. now, a lot of seniors like the medicare advantage program. a lot of the folks that are democrats don't like it because it gives all the choice. they like a single option on it. obamacare has a slice of $200 million over the next ten years to medicare advantage. what hhs did is that -- by the way, starting october the 1st of this year, of this year, immediately, right before the election. what the administration did is that they have a demonstration promise of dumping $8.3 billion into medicare advantage programs to start october 1st of this year to get us through the election time and then the big cuts don't start until next year. they delayed those cuts a year by dumping into demonstration project this year. gerri: they are cheating at the margins so that seniors don't get angry, and, again, this is a popular prescription drug program put in place while
6:35 pm
george w. bush was in office. it's a program that's essentially handled by the private sector, been very successful at reducing costs. now, you say the cuts would have started this week. what exactly were seniors facing, and what kind of money are they dumping into this thing? >> yeah, it's a very big deal. it's not just the prescription drug program, but the option that gives all alternatives, all options to combine it together to make it simpler for them. it's over a thousand dollars per seen your in increased premiums in cuts that happen in the medicare advantage beginning october of this year and so the push we said is there's no other reason to explain it. a demonstration project is legal. it's typically a very small project that's done to test efficiency, budget neutral, don't cost any money, they just test it. it's $8.3 billion. a perspective, the last 85 demonstration projects combined do not equal $8 billion.
6:36 pm
combine all projects from hss since 1995 don't equal $8.5, but they are dumping $8 billion in there to make sure cuts don't happen before the election. gerri: medicare advantage, the money they want to take away, ultimately, is going into obamacare so this is funding the prrsident's preferred medical program. >> that's right. gerri: the gao criticized this program. they are not known to be critical, but they are about this. what are they saying? >> gao is the government accountability office, the group that looks at the different areas to ensure the area of the executive branch is following the rules. they said this $8.3 billion falls outside the statutes, and in other words, it's not legal. now, they won't use words "it's not legal" because of their standing, but there's no statute permitting them to shift this money into a program to do this, and they recommended its immediate termination. gao has never said to hhs you
6:37 pm
need to terminate a program. this is not appropriate use of government funds until now. the people on the inside looking at the numbers are saying this does not smell right. there's no reason to do it. there's no statutory authority, and we can't find it demonstrates anything. a project demonstrates efficiency, this just dumps money into a program to extend it. gerri: lrpt. i've got to ask because hhs just complied with the request for information delivering what i understand to be reames of material, reames of information. you told me before we talked an inch and a half worth of documents. issa said he'll subpoena hhs anywayment didn't you get way you wanted? >> no, we made the request. we had a hearing on this in july. we made the formal request august 1. they didn't comply. we had multiple calls, phone
6:38 pm
calls, e-mails, follow-up letters, and hhs says tomorrow, tomorrow, tomorrow. we e-mail them and said can we get it tomorrow, and they said we have our fingers and toes crossed that we get it tomorrow to get it done. we expected this to come and to come, but it's not coming. we threatened a subpoena that if we don't get the documents late today, they send us spread sheets, worthless information, to say they sent something and we'll get the rest late in object. we asked it in august. they are trying to stall it until after the lix. we need the information we requested in august. gerri: so bureaucratic shuffle trying to keep voters happy. that's what you're saying. we count on our fingers and toes to understand what's going on here. congressman, thank you for coming on today. we appreciate the time. >> thank you for following up on the story. gerri: google shaking investor confidence after a glitch sends
6:39 pm
stocks plummeting. helping out heros after the serve the country. a new project gets them back to work. hear about that coming up next. ♪ follow the wings.
6:40 pm
6:41 pm
6:42 pm
gerri: many of the nation's young heros having trouble finding work.
6:43 pm
nearly a quarts of -- quarter of veterans unemployed. as a result, firms and organizations across the country step up efforts to get them great jobs. here with more is the vice president of kenna metal, a firm hiring vets, and mike hainy, institute for veterans and military families app syracuse university. you are a vet, started a program to hire vets. why? tell us about your company, too. >> sure, thanks for having me. we're the global industrial technology leaders who deliver solutions to the customers every day. we embarked on an exciting strategy recently called hiring our hero r ifs a few reasons. it's the right thing to do for the veterans in the communities, and secondly, veterans bring tremendous transferable skills to the workplace that i think a lot of employees can end joy. thirdly, it helps manufacturers address the skills gap critical in the industry today.
6:44 pm
gerri: we'll talk about that more in a second. mike, to you. we hear so much about how high the unemployment levels are among our vets. what are the biggest problems with placing veterans? >> well, i think part of it goes to simply the challenge of making that transition from military life to civilian life, and it's a challenge that -- the veterans struggle with and related to how do you translate military knowledge skills and abilities to a civilian career, and importantly, do it in a way where you can articulate them to an employer. a lot of this also falls on the employer. there is a knowledge gap, if you will, in terms of the ability of the employer to recognize the link between the technical skills, the loich -- leadership skills that someone in the military brings to the work force and how that benefits
6:45 pm
the bottom line of a private sector business. gerri: bernie, we have a picture of your job fairs. i hear they are expert of placing people. here's the picture. >> absolutely. hiring our heros initiative, there's three components, one is recruiting, which you have the picture of, that's working with the junior military officers program, the army pays program, to do the job fairs and career fairs out looking for recruits, veterans to bring into the company. there's also a stainability component and outreach component to the program. it's not just about getting new veretts into the company, but taking care of the veterans we have today and supporting the vets currently abroad. what you have in the picture is really one of the recruiting programs. gerri: all right: i want that talk about the idea of manufacturing and how it fits the veteran skill set. look at the numbers. 600,000 skill manufacturing jobs
6:46 pm
up filled, 52% of the nation's employers report trouble filling opened positions, and 82% of the nation's manufacturers report they can't find people to fill the job skills. mike, to you, how do the two come together? the manufacturing jobs and the folks unemployed. >> i think it goes back to what i said earlier. you know, and i'll try to give you a practical example. i have a resumé on my desk from a young marine who drove a tank in the military, and, you know, when i got that resumé, i had to chuckle to myself a little bit, but at the same time, it was disheartening because this is a young man who when asked to describe the, you know, his prior work experience, it said tank driver. you know, on the resumé where it said the skills and abilities, it says drive a tank, fix a tank, shoot a tank. the reality is that that young man has highly advanced
6:47 pm
technical training on hydraulic systems, radar systems, electrical systems, and those skills are ready transferable to the manufacturing sector, and really what we just need to do is, one, help the young man articulate that value, help employers see that value, and then provide additional training to, in a sense, round out that package. gerri: of -- the two of you doing great work. thanks for coming on tonight. this is something that has to happen across the country, get the vets back to work. i read a million are returning -- veterans returns to civilian life over five years. we can use them on manufacturing floors across the country. thanks for coming on tonight, appreciate it. >> thank you. >> thank you. >> thank you so much. gerri: another huge, huge mistake on wall street rattling stocks today. google's earnings released by mistake, but that was just the beginning of the shock for
6:48 pm
investors. stay with us.
6:49 pm
gerri: earnings blunder costing google and investors more than $22 million in eight minutes. what investors need to know right now.
6:50 pm
6:51 pm
gerri: in focus tonight, google's stock plunging nearly 10% this afternoon after the earnings release the in the middle of the trading day by mistake. the company's market cap took a hit, $22 billion erased from the stock, market cap in a matter of minutes. with more on why and what that means for small investors, i'm joined by zach -- jared. what cautioned it? the fact they released earnings early or it was a
6:52 pm
disappointment? >> we've been there with the flash crash, been there with knight, talked about the technical glitches, computers running the world, but this was someone at the pr firm hitting the send button. if you type an e-mail, push send, and you didn't mean to, that's what happened here. there was nothing to do with jared itself. gerri: suspect there the r of waiting? we're not going to say anything until the market closes. you don't know what's going on if you hold the stock. i mean, to me, that was the big error. they didn't say k okay, well, we're going to tell you all about the earnings release because it's already out there. there was no information. of course, people sold it off, and then it was halted for trading. >> yeah, i mean, he's the thing, the earnings report was not good, but there's a pattern to this; right? the reason why companies time earnings reports is to get people prepared, you know, and unfortunately, this did hurt
6:53 pm
investors because they thought should i buy, sell, report tonight, hours to think about it, but, no, that middle of the day caused ruckus and caused a little bit more commotion than would have happened. i think the stock probably would have lost 5%, not the 10% we saw today. gerri: plummeted like a stone. this is what the ceo had to say saying we have a strong quarter, revenue up 45% year on year, and it just 14 years old, cleared our first billion revenue corner. i'm excited about the google experience across all devices. anybody paying attention to that right now? >> not a thing. a question for you, gerri. they made 60 products, released 6 # 0 products in the last year. if you can name more than five, i'll give you a thousand dollars right now. i can't. gerri: oh, my gosh. >> google is poor at talking to people. gerri: i can't do that. >> most people can't. gerri: we got a comment from the
6:54 pm
former securities and exchange commission chairman, harry pit, and here's what he had to say. we called him up because he's our favorite sources when things go wrong. he said this is another nail in the coffin, nail in the coffin for investor confidence. now, i got to say that's -- that's strong words. what do you make of them? >> too far there, and when you look at it, again, it's not like they were hiding something and then we found out something of wrong doing. again, somebody hit the button to send information four hours before it should have came out. it was an error, yes. hurt people? yes. should investor confidence go away? no. that's not the point. we have to look at google as a company, realize mistakes happen. now, if google made a mistake in terms of their accounting or did something wrong, then it would be a different story. gerri: or if they were not making money, but i have to say this is the time you to make sure all the t's crossed and i's dots. >> you do.
6:55 pm
gerri: you wonder if the poor soul has a job spill. >> probably not. going with probably not. the industry, by the way, -- gerri: have to leave it here, story. >> that's okay. gerri: got to go. thanks for being with us. >> see you. gerri: we'll be right back. [ male announcer ] how do you trade? with scottrader streaming quotes, any way you want. fully customize it for your trading process -- from thought to trade, every screen. and all in real time. which makes it just like having your own trading floor, right your fingertips. [ rodger ] at scottre, seven dollar trades are just the start. try our easy-to-use scottrader streaming quotes. it's anotr reason more investors are ying... [ all ] i'm with scottrade.
6:56 pm
[ male announcer ] how do you turn an entrepreneur'dream... ♪
6:57 pm
nto a scooter that talks to the cloud? ♪ or turn 30-million artifacts... ♪ into a high-tech masterpiece? ♪ whatever your business challenge, dell has the technology and services to help you solve it. oh, hey alex. just picking up some, brochures, posters copies of my aeptance speech. great! it's always good to have a backup plan, in case i get hit by a meteor. wow, your hair looks great. didn't realize they did photoshop here. hey, good call on those mugs. can't let 'em see what you're drinking. you know, i'm glad we're both running a nice, clean race. no need to get nasty. here's your "honk if you had an affair with taylor" yard sign. looks good. [ male announcer ] dex office. now save 50% on banners. but proven technologies allow natural gas producers to supply affordable, cleaner energy, while protecting our environment.
6:58 pm
across america, these technologies protect air - by monitoring air quality and reducing emissions... ...protect water - through conservation and self-contained recyclinsystems... ... and protect land - by reducing our footprint and respeing wildlife. america's natural gas... domestic, abundant, clean energy to power our lives... that's smarter power today. >> finally more waste fraud abuse. not washington. chicago. according to cause of action
6:59 pm
the chicago to is rotation authority has been skimming millions of taxpayers for decades. date over reported the number of miles buses travel. they got their group from inside audit information. they point* to friends of fireplaces pointing to valerie jarrett. that is my $0.2. we will see you tomorrow. lou: good evening. the president's campaign team and allies today defended the surprising assertion the day after it occurred the benghazi terrorism. jack reed

91 Views

info Stream Only

Uploaded by TV Archive on